Firm growth in the Swedish retail and wholesale industries

Predicting entry of Swedish wholesale firms into local markets

“…Daunfeldt et al 2010Daunfeldt et al , 2012b have also reported that entry is more common in municipalities governed by non-socialist parties. Finally, our results also indicate that the estimated models have very low explanatory power, and that most variables were insignificantly determined; this is in line with previous findings of firm growth studies (Reichstein and Dahl 2004;Beck et al 2005;Fagiolo and Luzzi 2006;Coad 2009;Daunfeldt et al 2012a), so the interpretation should be the same as in those studies. These results indicate that we know little about what determines firm profitability, but that the statistically significant firm-specific fixed effects also indicate that time-invariant firm-specific factors are important in determining firm profits.…”

“…These data are frequently used in research (e.g. Daunfeldt et al 2012aDaunfeldt et al , 2012bHåkansson et al 2013). Data measuring municipal-level variables such as population, population density, and municipal political preference were provided by Statistics Sweden.…”

High-Growth Firms: Facts, Fiction, and Policy Options for Emerging Economies

“…Other studies establish a similar if somewhat broader range: HGF incidence has been documented to vary from less than 2 percent in Austria, Germany, Italy, the Netherlands, Norway, and Poland to 5 percent in Finland ), 6 percent in Sweden (Daunfeldt et al 2013) and the United Kingdom ), up to 10 percent in the Republic of Korea, and between 5 and 15 percent in the United States Decker et al 2014). 9 Using a variation of the OECD definition that requires annual growth of 20 percent per year or more and a minimum threshold of 15 employees, Hoffmann and Junge (2006) and Petersen and Ahmad (2007) find that HGFs account for 5-6 percent of all firms across 17 high-income countries.…”

“…For example, using data on all firms registered in Sweden between 1994, Shepherd and Wiklund (2009 find that some pairs of growth measures were highly correlated (for example, the growth of sales and of employees, defined in absolute terms), whereas others were not (for example, the growth of sales and of assets, defined in relative terms). Another analysis of Swedish data by Daunfeldt et al (2013)-defining HGFs as the top 1 percent of the fastest growing firms-found that firms selected on the basis of employment growth were inversely correlated with those selected on productivity growth. In South Africa, Mamburu (2017) shows that the correlation coefficients between the samples generated by 10 alternative definitions of HGFs-based on growth in employment, revenue, or both-were generally in the 0.1-0.3 range.…”

“…In the United Kingdom, 6 percent of all firms with 10 or more employees created 54 percent of jobs between ). 17 Likewise, in Sweden, 6 percent of the firms created 42 percent of jobs over the same period (Daunfeldt et al 2013), 18 while in Finland fewer than 5 percent of firms created 90 percent of jobs during 2003-06 . Defining HGFs as the set of firms expanding their employment by more than 25 percent per year, Decker et al (2014) find that in the United States, HGFs constitute 10-15 percent of firms but create 50-60 percent of output and jobs (Decker et al 2014;).…”